Justin (00:01): In this video, we’re going to talk about the possible price predictions for Bitcoin in 2021. Now, suppose, like most people, you’ve been following the news, and you’ve been listening to the industry experts. In that case, many people are predicting a rally past the current pricing, which is currently sitting at 19 285 dollars thereabouts. The market is currently open. There is a very significant reason why so many experts are predicting a rise in the Bitcoin price. I’ll also talk about my personal predictions in terms of where the pricing is going to go in 2021 and also specifically if I think this is something that you should be holding as part of your portfolio, whether you should be speculating, investing, holding, or sitting on the fence.
(0:50): I was an early investor in Bitcoin. I had Bitcoin at around the 300 dollar mark, I sold out at around 3000 dollars, and I certainly haven’t regretted it. One of the reasons why I always say I never regret selling Bitcoin early is that “A bird in the hand is worth something.” My personal opinion is that Bitcoin is probably one of the most volatile cryptocurrencies at the moment. The reason why I say that is that there is a lot of sentiment driving the price of Bitcoin. We have a look at the graphing just for the last year. We can see that even though there has been a general upswing in the actual pricing, there has been a lot of volatility in the price. I think one of the reasons why a lot of people are running to Bitcoin at the moment is not necessarily as a lot of the experts are tightening, which is as a safe haven or a place of safety. Still, I really believe that people are looking for places to make money. Now with the pandemic on our doorstep, having been through probably one of the toughest financial years, people are looking for places where they can get gains. Often cryptocurrencies and Forex is one of the places where people go to speculate. Now, having said that, there have been many institutional investors coming to Bitcoin in the last while. There have been many high net worth individuals who have started to use Bitcoin, and I think that absolutely is a very good thing for the future. However, my personal opinion is that Bitcoin is still highly speculative. When you have a situation with extreme volatility, you have to take into consideration that the downside very much underpins the upside. There is a massive downside as well as a massive potential upside. For me, Bitcoin is very much about speculation, and I think one of the problems is that Bitcoin is also very subject to day trading. A lot of people are doing Bitcoin trading pairs against your traditional currencies, Bitcoin trading pairs against other cryptocurrencies, and because Bitcoin has become the default cryptocurrency, what we have is we have a situation of extreme volatility. Forex on its own is pretty volatile, and now we have this new currency, which I think everybody can agree with. We all want a decentralised currency. We all want a currency with as little government control and interference as possible.
(03:33): There is one major flaw to Bitcoin at the moment, and that’s my personal opinion. This major flaw is probably the reason that’s keeping me on the fence at the moment in terms of even speculating on Bitcoin. Whilst I’m very happy to see institutional money going into Bitcoin, I’m very happy to see high net worth individuals starting to trust and beginning to put some of their money, and some of their time into Bitcoin, the number one reason why I believe this is a highly speculative and highly volatile investment is because it is still pretty hard to go out there and buy everyday items with Bitcoin. Until Bitcoin is widely accepted; there are automatic teller machines all over the place where you can go and withdraw money, you have cards that are accepted all over the show, Bitcoin that’s accepted all over the show until it really hits that mass-market appeal and it’s starting to be used in everyday transactions, I really believe that Bitcoin is going to remain one of those fringe speculation investments that you have to be very, very careful about. Now, obviously, there’s a lot of people who have made a lot of money in the last while over Bitcoin, and if you look at the upswing we’re talking about in the previous couple of months, the pricing has gone all the way up to 19 300 dollars, plus some change. If you consider that the previous max on this was in basically 2017, pretty much around this time, 17th of December 2017, it peaked out at about 19 thousand and some change, 19 317 dollars per Bitcoin. We are currently seeing two years later pricing more or less around the same level. Having said that, have a look at this volatility in between here. Now, I believe this upswing that we’re experiencing at the moment in the Bitcoin pricing has got a lot to do with the fact that people are looking for a place to make money. People are looking for a place to make gains, and so I don’t necessarily believe that the current pricing on Bitcoin is a true market reflection of what it is worth. I think it is probably a little bit overvalued at the moment. Having said that, there are guys like Robert Kiyosaki out there who are saying that Bitcoin could go to a million dollars per Bitcoin. A lot of people predicting possibly 435 thousand dollars per Bitcoin during the course of 2021. I have to say. I don’t believe it’s feasible. I don’t believe it’s viable. If it does happen by some miracle, some stroke of luck, I believe it will be very much market sentiment driven. Bitcoin remains a highly speculative investment, highly volatile investment, and so for me personally, I’m on the fence when it comes to Bitcoin. I will not be trading any Bitcoin. I will not be holding any Bitcoin. I will not specifically be going and doing any kind of Forex conversion into Bitcoin, let alone doing any kind of leverage trading on Bitcoin.
(06:53): So my advice to you guys for 2021: if you’re getting paid in Bitcoin, good for you. To go and take good, hard-earned money and throw it into a highly speculative investment, in my opinion, would be a big mistake. That’s my prediction for 2021. I think we’re going to continue to see extreme volatility in Bitcoin. There may be some new peaks in the highs, but I think we’re also going to see some extreme lows. Certainly, as the coronavirus pandemic continues to plague financial markets, I think everybody’s looking for an escape. Everybody’s looking for an option, and Bitcoin right now is the fashionable option. Guys, if you enjoyed this video, please make sure to give us a thumbs up. Your votes ensure that we are able to continue producing content for the channel. Also, if you haven’t subscribed, please consider hitting the subscribe button now, and don’t forget to click on the bell icon and turn on all notifications for our channel so you can get all our future videos delivered to you directly via YouTube notifications.